Schools minister Jim Knight said the money would be used to offer grants to parents in disadvantaged areas and on low incomes to buy a computer.
The government's Home Access Taskforce will make final recommendations on the plans in April following a public consultation.
A 600,000 pilot run by IT organisation Becta in 50 schools is currently road testing models of funding.
Speaking at educational technology trade show BETT 2008 last week Knight also said all secondary schools will be expected to offer parents "real time" reporting systems by 2010.
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